2001-04-24 CITY OF MOUND
HOUSING AND REDEVELOPMENT AUTHORITY
APRIL 24, 2001
The Mound Housing and Redevelopment Authority of Mound, Hennepin County, Minnesota,
met in regular session on Tuesday, April 21, 2001, at 6:30 p.m. in the council chambers at
5341 Maywood Road, in said City.
Members Present: Chairperson Pat Meisel, Commissioners Bob Brown, Mark hanus, Peter
Meyer, Klm Anderson and Tenant Representative Pauline Payne.
Others Present: HRA Director, Pinky Charon; Acting City Clerk, Bonnie Ritter, City Manager,
Kandis Hanson; City Attorney, John Dean; Dorothy and Bill Netka, Jim Prosser, David Hozza.
1, CALL TO ORDER
Chairperson Meisel called the meeting to order at 6:30 p.m.
2. APPROVE AGENDA AND CONSENT AGENDA
MOTION by Brown, seconded by Hanus to approve the agenda and consent agenda as
presented. All ayes.
A. Monthly bills for April, 2001, in the amount of $16,251.40.
B. Minutes of March 27, 2001 and April 10, 2001.
3. DIRECTOR CHARON'S REPORT
A. Director Charon presented the following:
Bank; 3) Wells Fargo; and 4) MBLA.
1 ) Account Report for 2/28/01; 2) Marquette
Bo
AGREEMENT BETVVEEN HRA AND CITY
MOTION by Hanus, seconded by Brown to approve the Agency Agreement Purchase
of Services between the City and the HRA. All voted in favor. Motion carried.
C. Tenant Representative, Pauline Payne did not have anything to report.
D. Information Items - Director Charon reported that there will be a public hearing in June
for the PHA plan. The final figure for their ranking is 90.8%, with anything over 90%
being a high performer.
4. COUNTY ROAD 15 OPEN HOUSE
MOTION by Brown, seconded by Hanus to reschedule the open house for the realignment of
County Road 15, from April 26th to May 3, 2001, at 7:00 p.m. This change is necessary due to
a conflict with the earlier set date.
5. MODIFICATION TO TIF DISTRICT
Jim Prosser of Ehlers & Associates, explained that changes in rules relating to the
administration of TIF districts have occurred since the district was first established. These
changes impact how the City must document budget items relating to district expenses. A bill
currently under consideration would require certain changes in how TIF proceeds are reported
and used. The changes proposed would accommodate these changes if enacted. He
Mound HRA- Apd124, 2001
explained that the modification to the plan would; 1) expand the budget for TIF district 1-1 to
include interest earnings, inter-fund loans and inter-fund transfers as tax increment funds, 2)
clarify budgets for previous bond refunding amounts, 3) clarify duration, 4) clarify the amount of
inter-fund loan transfers of tax increments to be authorized, and 5) explicitly authorize the use
of tax increments for Development District project expenditures.
Commissioner Anderson was concerned over the contents of page 2 of the memo received
from the County, where it stated that the amount is an unknown, but if TIF District No. 1-1 were
to be decertified when all of its own debt obligations have been met, the increased tax revenue
generated by the new development in the TIF district would be returned to the general tax rolls
sooner. If tax increment revenue generated by TIF District No. 1-1, but not needed for its own
debt obligations, is "pooled" with TIF District No. 1-2, there could be as much as a ten-year
delay before Mound, Hennepin County and School District 277 tax levies benefit from the tax
capacity increases within this TIF District. She expressed that she feels this money should be
used in the general fund and not transferred to another district.
Hanus stated that there is no deprivation of funds because either the funds come back to the
general fund or go to another TIF District. The city gets the money either way.
It was noted that the decision on how to spend these funds doesn't have to be made until April
of 2002.
MOTION by Anderson, seconded by Meyer to adopt the resolution for the TIF District
modification only if the money goes back to the City's general fund, not into another District.
Ayes: Anderson, Meyer. Nayes: Brown, Hanus, Meisel. Motion defeated.
MOTION by Hanus, seconded by Brown to adopt the following resolution. Ayes: Brown,
Hanus, Meisel. Nayes: Anderson, Meyer. Motion carried.
RESOLUTION NO. 01-04H:
RESOLUTION ADOPTING THE MODIFICATION TO THE
DEVELOPMENT PROGRAM FOR DEVELOPMENT
DISTRICT NO. 1 AND ADOPTING THE MODIFICATION TO
THE TAX INCREMENT FINANCING PLAN FOR TAX
INCREMENT FINANCING DISTRICT 1-1 THEREIN.
6. ADJOURNMENT
MOTION by Brown, seconded by Anderson to adjourn at 7:00 p.m. All voted in favor.
carried.
Motion
Atte{t: Kandis Hanson, Executive D~r~ctor
Chairperson Pat Meisel